Commercial Mortgage Calculator
Work out how much your business could borrow
Get your plans underway by calculating how much you could borrow
Use our commercial mortgage affordability calculators to work out what a commercial mortgage will cost you as well as how much a lender may be willing to lend to you. These calculators can be a good guide before you start a commercial mortgage application.
How Much Could I Borrow for a Commercial Mortgage?
We have a detailed understanding of how lenders assess commercial mortgage affordability and we’ve loaded that knowledge into the “how much can I borrow” calculator. This will give you an idea of how much you may be able to borrow for your commercial mortgage based on your business profits. If you want a steer on commercial mortgage interest rates or how much a commercial mortgage will cost, take a read of this guide.
How much could I borrow?
Calculate how much could you borrow based on your profits.
How Much Will my Commercial Mortgage Repayments Be?
Use our commercial mortgage calculator to find out what the monthly repayments for a commercial mortgage would be. For a steer on what interest rates to expect take a read of this guide.
Business Loan Calculator
Calculate what your business loan repayment would cost you.
Commercial Mortgage Interest Rates
Interest rates vary between lenders based on their view of the risk profile of your business. Lenders have their own risk appetites and scorecards, but a helpful way to get an idea of what interest rate your business could get is to think in terms of “risk bands”:
- Risk band A: Strong personal credit score, strong business credit score, trading for 5 years or more, good profits, good balance sheet net worth. Low loan to value.
- Risk band B: Reasonable personal score with only minor issues, reasonable business credit score, trading for 2 years or more, profitable. Higher loan to value.
- Risk band C: Some recent credit issues or weak credit score (missed payments or satisfied CCJs)
In addition to working out which category you’d fit into, lenders will also price your loan very differently depending on the type of property being funded, as well as the loan to value. The higher the loan to value, the higher the interest cost.
So you could expect rates as follows:
- Risk Band A: 6%-8% p.a. fixed for 5 years. Alternatively 2%-3% above base rate. These rates would typically be available with high street lenders and some specialist lenders only available through commercial mortgage brokers.
- Risk Band B: 7%-9% p.a. fixed for 5 years. Alternatively 3%-4% above base rate. These rates tend to be available via challenger banks and some specialist lenders.
- Risk Band C: 8%-10% p.a. fixed for 5 years. Alternatively 4%-6% above base rate.
These rates are annual, and are for illustration only.
Want some advice?
Talk to one of our Commercial Mortgage Specialists. We’re on hand to take you through the options available.